Market cap: $6.08 billion
Some companies look so appetizing that they go on every analyst's shortlist of likely takeover targets. For others, it's more like the flavor of the week. That was the case for BioMarin last summer, when The Telegraph got the buzz going when it reported that GlaxoSmithKline ($GSK) was in talks with the company and Shire ($SHPG) could do the same. Then Piper Jaffray put the biotech on its list of likely takeover targets, saying that Takeda should buy the rare disease drug developer.
Or not. Days later The Guardian turned up the volume on rumors when traders told one of its business writers that a BioMarin bid "could come soon." And GlaxoSmithKline and Shire--two companies with a rep in the rare disease drug game--were once again cited as likely rivals in a bid that could reach up to $7 billion.
Nothing came of it--at least not yet. But don't expect the speculation to end.
Things have been looking up for BioMarin. Improved sales allowed the company to beat Street estimates for its third-quarter losses. Revenue was up 13%, and the news once again allowed reporters to note the summertime gossip. And yesterday the biotech reported that its enzyme replacement therapy GALNS hit its marks in a pivotal Phase III, sending its share price to an all time high.
Buyout rumors never die. They just fade away, until the next analyst report or market rumor hits the financial press.
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